UnitedHealth (UNH) Stock: Can Q4 Earnings Tuesday Spark Recovery After 34% Drop?

TLDR UnitedHealth Group reports Q4 earnings on January 27 with Wall Street expecting $2.10 EPS (69% decline) and $113.8 billion revenue (13% growth) Stock down 34% annually due to Medicare Advantage cost pressures and DOJ billing investigation Senate probe found aggressive Medicare Advantage payment tactics in review of 50,000 internal documents Analysts maintain Strong Buy rating with average $399.50 price target implying 12% upside potential Options market pricing 5.54% post-earnings move as company kicks off healthcare sector reporting season UnitedHealth Group delivers its fourth-quarter 2025 financial results before the opening bell on January 27. The timing comes as investors weigh a challenging year against Wall Street’s continued optimism. UnitedHealth Group Incorporated, UNH The health insurance provider has shed 34% of its value over the past 12 months. Medicare Advantage medical costs have climbed higher than expected. A Department of Justice investigation into billing practices has kept pressure on shares. Analysts project earnings of $2.10 per share for the quarter. That marks a 69% drop compared to the year-ago period. Revenue forecasts point to $113.8 billion, representing 13% annual growth. The company has delivered seven earnings beats in the past nine quarters. Last quarter brought $113.2 billion in revenue, matching Wall Street’s estimates with 12.2% year-over-year growth. Customer count held steady at 54.08 million members. Senate Findings Raise Questions A U.S. Senate investigation released findings on January 12 that caught market attention. Lawmakers reviewed approximately 50,000 internal company documents as part of their probe. The investigation focused on Medicare Advantage payment practices. These plans receive fixed government payments per patient, with larger amounts for members who have serious health conditions. This risk adjustment system determines final payment levels. Investigators concluded the company approached the system as ...